PBOC Raises Reserve Requirement Ratio

(Beijing) – The People's Bank of China, China's central bank, announced a 0.5 percentage point rate hike for banks' reserve requirement ratios on June 14.

The adjustment, set to take place on June 20, is the sixth such increase since the beginning of the year. The measure will put cash reserve requirements for Chinese banks at up to 21.5 percent. Since January 2010, the PBOC has raised reserve requirement ratios 12 times.